Jiangling Motors plans to take over Taiyuan Changan Heavy Truck, part of its plan to expand in China.
Jiangling Motors Corp is a major Chinese light commercial vehicle manufacturer partly owned by Ford Motor. China, which the world’s largest market for heavy trucks, managed to sell 1 million vehicles in 2011, more than Europe, South America and North America combined.
Jiangling aims at buying Taiyuan Changan Heavy Truck, from China Changan Automobile and China South Industries Group Corp, and expand into the country’s heavy-truck business. Ford did not offer any information about the value of the deal, which now waits for the approval of the Chinese government. According to Taiyuan Changan’s official website, it is able to manufacture 50,000 vehicles annually.
Jiangling is currently owned 30% by Ford and produces SUVs and light commercial vehicles, including the Ford Transit van. In 2011 the auto maker sold 194,588 units, up 9% compared with the same period last year, reaching revenue of 17.5 billion yuan ($2.75 billion).
Tuesday, August 7th, Jiangling and Japan’s Isuzu Motors announced their plans to make two joint ventures and begin production of engines and light trucks.